Answer: short selling
Explanation: In simple words, short selling refers to the process in which an individual borrows stock from its holder with the promise of giving it back after a specific time and at a specific price, after borrowing he or she sells the stock at the current market price and expects that the price of stock will decrease in future.
The borrower then purchases the stock at a lower price and gives it back to the lender with the margin profit in his or her pocket. Short selling works like a speculation but only market experts do such activity due to high risk involved.
Such processes are of high value to the market as they result in creation of liquidity.
Answer:
if there is an increase to sales even if fixed expenses are also increased.
Explanation:
In simple words, fixed cost refers to the expenditures, that unlike variable expenses, remain stable at a high level. Factory or office rent , labor charges are some of the prime examples of fixed expenses.
Due to fixed expenses, entities operating at higher level makes higher profit. Hence, if the fixed expenses also increase with sales then the project might not be very profitable to accept.
Answer:
I should be LEAST concerned about the tracking record of the general partner
Explanation:
Based on the information given what i should be LEAST concerned about should be the tracking record of the general partner reason been that the agent has been assigned to bring in customers to the general partner in which the agent will pay a 10 percent fee of the amount that was invested and secondly the agent been given brochure in which he has been assigned to distribute to the customers by the general partner, Hence this means that I should be basically concern about the violation of Regulation D, the security of the investment and the information that was been disclose in the brochure that was given to the agent to give to the customers.
Compound interest: FV = PV / (1+I)^N
Simple interest: FV = PV + (PV x I x N)
a. True
b. False
a. True
Explanation:
Compound interest
FV = PV / (1+I)^N
Simple interest
FV = PV + (PV x I x N)
All other variables held constant, investments paying simple interest have to pay significantly higher interest rates to earn the same amount of interest as an account earning compound interest.
a. True
All other factors being equal, both the simple interest and the compound interest methods will not generate the amount of earned interest by the end of the first year.
b. False
After the end of the second year and all other factors remaining equal, a future value based on compound interest will exceed a future value based on simple interest.
a. True
Answer:
A. It potentially results in better products for the customer.
Explanation:
When components for the production of a good are imported from other continent, such could potentially results in better products for the customer because most often than not, the exporting country has superior knowledge base in terms of manufacturing these component parts which can be utilized by the importing country.
Moreover, companies import components for various reasons; either to reduce or save cost or they found superior materials somewhere else . Where they found superior materials in in other continent, then the chances of making good or better product is high because of these superior components.
Also, one of the gains in globalization is that one can source for materials or components in other continent for products that can be made locally with high quality and value.